SOLUTION: What is the difference between investing $4,000 for two years at 7% compound interest computed semi-annually or invest them at 5% computed compound interest quarterly basis?
Question 1163100: What is the difference between investing $4,000 for two years at 7% compound interest computed semi-annually or invest them at 5% computed compound interest quarterly basis? Found 2 solutions by ikleyn, Edwin McCravy:Answer by ikleyn(52814) (Show Source): You can put this solution on YOUR website! .
What is the difference between investing $4,000 for two years at 7% compound interest computed semi-annually
or invest them at 5% computed compound interest quarterly basis?
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Answer by Edwin McCravy(20060) (Show Source): You can put this solution on YOUR website! What is the difference between investing $4,000 for two years at 7% compound
interest computed semi-annually or invest them at 5% computed compound
interest quarterly basis?
They always say, "Go by the higher interest rate, not the frequency of
compounding". Let's see if "they" are right:
Looks like "they" are.
Edwin